Edgar Filing: TELENOR ASA

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SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16 OF
THE SECURITIES EXCHANGE ACT OF 1934

Date: 27^th October, 2004, for 3^rd Quarter, 2004

TELENOR ASA
(Registrant’s Name)

Snarøyveien 30,
1331 Fornebu,
Norway
(Registrant’s Address)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F þ Form 40-F o

Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

Yes o No þ

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):

TABLE OF CONTENTS


TELTELENOR ASA THIRD QUARTER 2004 RESULTS
SIGNATURES
Profit and loss statement
BALANCE SHEET
CASH FLOW STATEMENT
THE BUSINESS AREAS THIRD QUARTER
ANALYTICAL INFORMATION
Special items
Reconciliations

TELTELENOR ASA THIRD QUARTER 2004 RESULTS

Telenor’s revenues excluding gains increased by 15.9% to NOK 15,610 million. EBITDA increased by NOK 713 million to NOK 5,605 million. EBITDA margin adjusted for special items was 36.1%. Telenor’s operating profit increased by NOK 300 million to NOK 2,600 million. Profit before taxes and minority interests increased by NOK 659 million to NOK 2,664 million. Net income per share increased to NOK 0.82. Capex was NOK 3,140 million. Net debt was NOK 20.6 billion

Telenor’s revenues excluding gains increased by 15.9% to NOK 15,610 million. Adjusted for the effects of acquisitions and disposals of operations and currency fluctuations, the growth in revenues was just above 7%.

EBITDA increased by NOK 713 million to NOK 5,605 million. Telenor’s EBITDA margin adjusted for special items was 36.1% compared to 37.2%.

Telenor’s operating profit increased by NOK 300 million to NOK 2,600 million. Profit before taxes and minority interests increased by NOK 659 million to NOK 2,664 million. Net income per share increased by NOK 0.10 to NOK 0.82.

In Mobile, the number of subscriptions in consolidated operations increased by 2.2 million compared to 0.6 million in the same quarter last year. Revenues increased by NOK 2,559 million to NOK 8,881 million. EBITDA increased by NOK 811 million to NOK 3,412 million.

In Fixed Norway, revenues adjusted for disposal of operations and special items were reduced by 3.3%. Correspondingly, adjusted EBITDA margin was 36.1% compared to 36.7% in the third quarter of 2003. The operating profit was in line with the same quarter last year.

In Broadcast, at the end of the third quarter of 2004 the number of subscribers with satellite dish exceeded 800,000 in the Nordic area. EBITDA increased by NOK 105 million to NOK 424 million.

In the third quarter of 2004, Telenor Mobil Norway increased the number of GSM subscriptions by 114,000. Telenor’s estimated market share for mobile services in Norway was 56% measured in number of subscriptions. The

market share for fixed line telephony in Norway measured in traffic minutes was sustained from previous quarters at 69%.

Capital expenditure was NOK 3,140 million compared with NOK 1,460 million in the third quarter of 2003 mainly as a consequence of increased network investments in Mobile due to strong subscriber growth and the purchase of an ownership interest in a satellite in Broadcast.

Net interest-bearing liabilities were NOK 20.6 billion, a reduction of NOK 1.4 billion from the second quarter of 2004.

In the third quarter of 2004 Telenor purchased 3,000,000 own shares in the market for NOK 145 million. So far in 2004, Telenor has purchased shares for NOK 2.85 billion, including shares, which according to an agreement, have been or will be purchased from the Kingdom of Norway.

The Intelsat AGM has approved the agreement involving today’s shareholders selling their shares to private investors for $18.75 a share. Telenor has approximately 6.9 million shares in Intelsat. The sale will give Telenor a book profit of around NOK 400 million. The settlement for the shares will be in cash, and is expected to be concluded around year-end 2004.

Outlook:

Telenor confirms its expectations for 2004 as presented in Telenor’s report for the second quarter of 2004 of a continued positive development in Telenor’s results compared to 2003. This also applies to the fourth quarter of 2004.

Continued growth in revenues is expected, in particular driven by the international mobile operations, where we experience a strong growth in the customer base in several markets.

The EBITDA margin for 2004 is expected to be in line with 2003, excluding special items. This includes the consolidation of Sonofon and the establishment of mobile operations in Pakistan. This expectation is based on, among other factors, the effects of increased marketing efforts to secure growth in several of our mobile operations. Capital expenditure in the fourth quarter is expected to be higher than in the fourth quarter of 2003 due to expectations of continued high network investments in Telenor’s international mobile operations.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.


Telenor ASA
By:	/s/ Torstein Moland
	Name:	Torstein Moland (sign.)
	Title:	CFO

Date: 27^th October, 2004

Profit and loss statement


	3rd quarter						First three quarters
Telenor group													Year
(NOK in millions except net income per share)	2004			2003			2004			2003			2003
Revenues		15,610			13,469			45,144			39,218			52,889
Gains on disposal of fixed assets and operations		71			22			445			102			232
Total revenues		15,681			13,491			45,589			39,320			53,121

Costs of materials and traffic charges		4,147			3,391			11,780			9,836			13,094
Own work capitalized		(103	)		(122	)		(391	)		(398	)		(571	)
Salaries and personnel costs		2,224			2,148			7,271			7,011			9,561
Other operating expenses		3,756			3,166			10,546			9,251			12,506
Losses on disposal of fixed assets and operations		52			16			81			201			229
Depreciation and amortization		2,963			2,579			8,635			7,956			10,597
Write-downs		42			13			46			76			145
Total operating expenses		13,081			11,191			37,968			33,933			45,561

Operating profit		2,600			2,300			7,621			5,387			7,560

Associated companies		292			62			636			1,410			1,231
Net financial items		(228	)		(357	)		1,743			(1,255	)		(1,365	)
Profit before taxes and minority interests		2,664			2,005			10,000			5,542			7,426

Taxes		(906	)		(676	)		(3,400	)		(1,772	)		(2,376	)
Minority interests		(359	)		(48	)		(990	)		(209	)		(490	)
Net income		1,399			1,281			5,610			3,561			4,560


Net income per share in NOK — basic and diluted		0.81			0.72			3.20			2.01			2.57

US GAAP
Net income		1,649			1,456			6,209			3,968			5,036
Net income per share in NOK — basic and diluted before cummulative effect of change in accounting principle		0.96			0.82			3.54			2.23			2.84

BALANCE SHEET


Telenor group
(NOK in millions)	30.09.2004			30.06.2004			30.09.2003			31.12.2003
Deferred tax assets		1,245			1,906			3,858			3,850
Goodwill		14,546			14,683			9,690			9,224
Intangible assets		10,897			11,072			6,074			5,536
Tangible assets		38,083			37,322			36,671			35,722
Associated companies		6,672			6,808			8,940			10,166
Other financial assets		2,414			2,429			4,914			3,848

Total fixed assets		73,857			74,220			70,147			68,346


Other current assets		11,222			11,779			10,659			9,819
Liquid assets		4,404			5,465			5,614			7,945

Total current assets		15,626			17,244			16,273			17,764

Total assets		89,483			91,464			86,420			86,110


Paid-in equity		27,318			27,465			29,285			29,311
Other equity		15,600			14,201			10,794			9,978
Cumulative translation adjustments		(1,670	)		(1,536	)		(2,299	)		(2,052	)

Shareholders equity		41,248			40,130			37,780			37,237

Minority interests		4,342			4,278			3,699			3,646

Total equity and minority interests		45,590			44,408			41,479			40,883


Provisions		2,860			2,678			1,543			1,645

Long-term interest-bearing liabilities		24,535			26,184			26,580			25,376
Long-term non-interest-bearing liabilities		723			706			989			754

Total long-term liabilities		25,258			26,890			27,569			26,130

Short-term interest-bearing liabilities		465			1,254			618			386
Short-term non-interest-bearing liabilities		15,310			16,234			15,211			17,066

Total short-term liabilities		15,775			17,488			15,829			17,452

Total equity and liabilities		89,483			91,464			86,420			86,110


USGAAP
Shareholders equity		43,782			42,410			41,188			42,535

CHANGE IN SHAREHOLDERS EQUITY


	01.01.2004			01.01.2004			01.01.2003			01.01.2003
(NOK in millions)	30.09.2004			-30.06.2004			-30.09.2003			-31.12.2003
Shareholders equity as of 1 January		37,237			37,237			33,685			33,685
Net income		5,610			4,211			3,561			4,560
Dividends		12			12			—			(1,776	)
Employee share issue		27			23			—			26
Acquisition Comincom/Combellga		—			—			(35	)		(35	)
Acquisition GramennPhone		—			—			—			(39	)
Share buy back		(2,020	)		(1,869	)		—			—
Translation adjustments		382			516			569			816

Shareholders equity		41,248			40,130			37,780			37,237

CASH FLOW STATEMENT


	3rd quarter						First three quarters
Telenor group													Year
(NOK in millions)	2004			2003			2004			2003			2003
Profit before taxes and minority interests		2,664			2,005			10,000			5,542			7,426
Taxes paid		(670	)		(160	)		(1,242	)		(2,882	)		(3,283	)
Net (gains) losses including write-downs of financial items		(41	)		32			(2,995	)		227			(76	)
Depreciation, amortization and write-downs		3,005			2,592			8,681			8,032			10,742
Associated companies		(292	)		(62	)		(636	)		(1,410	)		(1,231	)
Difference between expensed and paid pensions		213			(81	)		349			(154	)		134
Currency (gains) losses not relating to operating activities		(6	)		(1	)		23			(49	)		(78	)
Change in other accruals		316			506			(181	)		(545	)		42

Net cash flow from operating activities		5,189			4,831			13,999			8,761			13,676


Payments on purchase of tangible and intangible assets		(3,324	)		(1,481	)		(8,215	)		(4,159	)		(6,536	)
Payments on purchase of subsidiaries and associated companies, net of cash received		(525	)		(30	)		(5,235	)		(235	)		(506	)
Proceeds from sale of tangible and intangible assets and businesses, net of cash payed		239			63			717			2,515			2,850
Proceeds from sale of and payments for other investments		(75	)		60			3,054			8			738

Net cash flow from investment activities		(3,685	)		(1,388	)		(9,679	)		(1,871	)		(3,454	)


Proceeds and payments interest-bearing liabilities		(1,280	)		(3,112	)		(3,826	)		(6,069	)		(7,022	)
Issuance of shares and repayment of equity		4			23			26			29			25
Share buy back		(905	)		—			(2,020	)		—			—
Dividends paid to minority interests		(188	)		—			(189	)		—			(91	)
Dividends paid to Telenor’s shareholders		(73	)		(8	)		(1,764	)		(799	)		(799	)

Net cash flow from financing activities		(2,442	)		(3,097	)		(7,773	)		(6,839	)		(7,887	)


Effect on cash and cash equivalents of changes in foreign exchange rates		(131	)		(45	)		(94	)		42			45
Net change in cash and cash equivalents		(1,069	)		301			(3,547	)		93			2,380

Cash and cash equivalents at the beginning of the period		5,166			5,056			7,644			5,264			5,264
Cash and cash equivalents at the end of the period		4,097			5,357			4,097			5,357			7,644

THE BUSINESS AREAS THIRD QUARTER


																																		Profit (loss) before taxes
																Operating						Associated						Net financial						and minority
	Total revenues¹⁾						of which external¹⁾				EBITDA					profit (loss)						companies						items						interests
(NOK in millions)	2004			2003			2004		2003		2004			2003		2004			2003			2004			2003			2004			2003			2004			2003
Mobile		8,881			6,322			8,530		5,966		3,412			2,601		1,802			1,507			270			95			(453	)		(347	)		1,619			1,255
Fixed		4,665			5,152			4,238		4,724		1,504			1,761		674			792			32			1			(101	)		(161	)		605			632
Broadcast		1,330			1,203			1,296		1,164		424			319		205			63			1			15			(114	)		(145	)		92			(67	)
EDB Business Partner		1,018			1,008			774		768		167			11		60			(91	)		—			—			(8	)		(17	)		52			(108	)
Other business units		901			958			785		812		97			111		(22	)		3			(11	)		(50	)		(16	)		(119	)		(49	)		(166	)
Corporate functions and group activities		504			529			58		57		2			64		(97	)		(33	)		(1	)		—			463			431			365			398
Eliminations		(1,618	)		(1,681	)		—		—		(1	)		25		(22	)		59			1			1			1			1			(20	)		61

Total		15,681			13,491			15,681		13,491		5,605			4,892		2,600			2,300			292			62			(228	)		(357	)		2,664			2,005

¹⁾

Revenues include gains on disposal of fixed assets and operations

THE BUSINESS AREAS FIRST THREE QUARTERS


																																	Profit (loss) before taxes
															Operating						Associated						Net financial						and minority
	Total revenues¹⁾						of which external¹⁾				EBITDA				profit (loss)						companies						items						interests
(NOK in millions)	2004			2003			2004		2003		2004		2003		2004			2003			2004			2003			2004			2003			2004			2003
Mobile		24,297			17,499			23,246		16,520		9,279		7,073		4,816			3,792			656			1,656			1,151			(1,693	)		6,623			3,755
Fixed		14,473			15,334			13,157		14,110		4,725		5,043		2,095			1,963			26			1			(390	)		(581	)		1,731			1,383
Broadcast		3,972			3,510			3,870		3,388		1,162		850		488			49			3			(66	)		(378	)		(625	)		113			(642	)
EDB Business Partner		3,398			3,176			2,710		2,399		751		222		458			(72	)		—			(13	)		(37	)		(66	)		421			(151	)
Other business units		2,717			3,157			2,348		2,699		358		176		32			(182	)		(53	)		(167	)		(50	)		(308	)		(71	)		(657	)
Corporate functions and group activities		1,632			1,681			258		204		1		55		(289	)		(228	)		1			(2	)		1,442			2,194			1,154			1,964
Eliminations		(4,900	)		(5,037	)		—		—		26		—		21			65			3			1			5			(176	)		29			(110	)

Total		45,589			39,320			45,589		39,320		16,302		13,419		7,621			5,387			636			1,410			1,743			(1,255	)		10,000			5,542

¹⁾

Revenues include gains on disposal of fixed assets and operations

ANALYTICAL INFORMATION


	2002												2003								2004
	Q1		Q2		Q3			Q4			Q1		Q2		Q3		Q4		Q1		Q2		Q3
Revenues (NOK in millions)		11,563		12,011		12,210			13,042			12,606		13,223		13,491		13,801		14,284		15,624		15,681
EBITDA excluding gains and losses (NOK in millions)		2,926		3,155		3,778			3,599			4,184		4,448		4,886		4,781		5,010		5,342		5,586
Operating profit (loss) (NOK in millions)		602		691		488			(2,101	)		1,475		1,612		2,300		2,173		2,282		2,739		2,600
Profit (loss) before taxes and minority interests (NOK in millions)		31		383		(105	)		(5,445	)		1,047		2,490		2,005		1,884		4,674		2,662		2,664
Equity ratio including minority interests (%)		49.4		48.2		46.7			41.7			42.6		45.5		48.0		47.0		47.2		48.6		50.9
Net interest bearing liabilities (NOK in millions)		24,449		25,717		27,645			26,872			26,139		25,317		21,584		17,817		19,297		21,973		20,596
Net interest bearing liabilities/EBITDA excluding gains and losses last 12 months		2.6		2.5		2.3			2.0			1.8		1.6		1.3		1.0		1.0		1.1		1.0
Capex (NOK in millions)		1,879		2,161		2,169			2,680			1,230		1,314		1,460		2,450		1,471		4,012		3,140
Investments in businesses (NOK in millions)		8,875		2,271		493			772			23		268		9		263		3,749		294		644
No. of man-years		22,250		21,650		22,350			22,100			21,200		21,150		20,300		19,450		20,600		20,200		20,700
- of which abroad		7,700		7,800		8,600			8,900			8,700		8,700		8,100		7,450		8,650		8,750		9,450

MOBILE
Telenor Mobil — Norway
No. of mobile subscriptions (NMT + GSM) (in thousands)		2,314		2,360		2,409			2,382			2,342		2,330		2,364		2,364		2,378		2,451		2,562
No. of GSM subscriptions (in thousands)		2,249		2,299		2,352			2,330			2,294		2,285		2,324		2,327		2,346		2,422		2,536
- of which prepaid (in thousands)		1,051		1,094		1,131			1,115			1,093		1,091		1,120		1,099		1,091		1,118		1,178
Traffic minutes per GSM subscription per month, generated and terminated		171		185		186			178			178		190		195		189		192		198		198
Average revenue per GSM subscription per month in the quarter (ARPU):		334		351		359			340			330		346		354		326		332		348		345
- of which contract		481		511		528			492			480		501		519		475		488		515		526
- of which prepaid		162		168		171			170			163		172		174		162		154		153		134
No. of SMS and content messages (in millions)		391		403		444			454			452		462		500		512		488		511		560
Sonofon — Denmark
No. of mobile subscriptions (in thousands)		—		—		—			—			—		—		—		—		996		1,212		1,263
- of which prepaid (in thousands)		—		—		—			—			—		—		—		—		250		451		485
Traffic minutes per GSM subscription per month, generated and terminated		—		—		—			—			—		—		—		—		165		185		175
Average revenue per GSM subscription per month in the quarter (ARPU):		—		—		—			—			—		—		—		—		270		255		242
- of which contract		—		—		—			—			—		—		—		—		313		322		315
- of which prepaid		—		—		—			—			—		—		—		—		135		111		106
No. of SMS and content messages (in millions)		—		—		—			—			—		—		—		—		240		298		338
Telenor Mobile Sweden
No. of mobile subscriptions (in thousands)		—		—		—			—			52		59		65		81		84		92		96
- of which prepaid (in thousands)		—		—		—						26		23		28		44		48		54		56
Traffic minutes per GSM subscription per month, generated and terminated		—		—		—						28		41		67		76		80		104		118
Average revenue per GSM subscription per month in the quarter (ARPU):		—		—		—						119		160		207		199		188		202		218
- of which contract		—		—		—						194		248		311		294		295		311		365
- of which prepaid		—		—		—						44		49		56		105		105		122		118
Pannon — Hungary
No. of mobile subscriptions (in thousands)		2,001		2,146		2,311			2,450			2,514		2,514		2,564		2,618		2,596		2,588		2,595
- of which prepaid (in thousands)		1,446		1,596		1,767			1,910			1,989		1,981		2,019		2,023		1,977		1,936		1,886
Traffic minutes per GSM subscription per month, generated and terminated		113		115		112			112			104		110		113		116		111		121		127
Average revenue per GSM subscription per month in the quarter (ARPU):		182		184		177			177			153		165		170		173		169		176		184
- of which contract		383		391		401			415			386		414		416		412		396		386		390
- of which prepaid		97		98		94			100			86		92		97		99		94		97		100
DiGi.Com — Malaysia
No. of mobile subscriptions (100% in thousands)		1,159		1,284		1,454			1,616			1,803		1,946		2,055		2,207		2,416		2,585		2,806
- of which prepaid (100% in thousands)		1,044		1,176		1,351			1,519			1,708		1,850		1,953		2,101		2,301		2,453		2,653
Traffic minutes per GSM subscription per month, generated and terminated		197		189		185			185			177		175		177		176		167		164		170
Average revenue per GSM subscription per month in the quarter (ARPU):		169		158		138			145			123		111		117		117		116		110		112
- of which contract		313		331		312			352			331		336		367		357		358		352		337
- of which prepaid		150		142		124			131			112		100		105		105		104		98		100
Kyivstar — Ukraine
No. of mobile subscriptions (100% in thousands)		—		—		1,659			1,856			2,012		2,205		2,512		3,037		3,221		3,610		4,856
- of which prepaid (100% in thousands)		—		—		1,283			1,472			1,614		1,768		2,037		2,503		2,675		3,031		4,211
Traffic minutes per GSM subscription per month, generated and terminated		—		—		50			49			43		52		59		73		69		74		96
Average revenue per GSM subscription per month in the quarter (ARPU):		—		—		113			102			81		92		106		95		87		97		103
- of which contract		—		—		194			202			167		176		204		201		194		213		220
- of which prepaid		—		—		73			70			54		66		74		70		62		69		76
GrameenPhone — Bangladesh
No. of mobile subscriptions (100% in thousands)		550		625		704			769			835		928		1,047		1,141		1,520		1,795		2,024
- of which prepaid (100% in thousands)		353		424		501			563			631		725		820		899		1,258		1,501		1,730
Traffic minutes per GSM subscription per month, generated and terminated		308		297		288			298			309		312		328		320		322		313		310
Average revenue per GSM subscription per month in the quarter (ARPU):		191		173		167			155			133		136		143		130		123		108		104
- of which contract		311		297		286			303			283		295		337		327		342		298		310
- of which prepaid		118		104		100			95			81		89		90		76		72		70		67
ProMonte GSM — Montenegro
No. of mobile subscriptions (in thousands)		—		—		—			—			—		—		—		—		—		—		340
- of which prepaid (in thousands)		—		—		—			—			—		—		—		—		—		—		297
Traffic minutes per GSM subscription per month, generated and terminated		—		—		—			—			—		—		—		—		—		—		67
Average revenue per GSM subscription per month in the quarter (ARPU):		—		—		—			—			—		—		—		—		—		—		176
- of which contract		—		—		—			—			—		—		—		—		—		—		504
- of which prepaid		—		—		—			—			—		—		—		—		—		—		92
Associated companies
No. of mobile subscriptions (100% in thousands)		12,424		14,425		14,814			16,116			17,158		15,105		17,035		19,478		21,028		24,594		28,662

FIXED — Norway
Retail market
No. of PSTN subscriptions (in thousands)		1,522		1,497		1,480			1,467			1,449		1,427		1,381		1,308		1,248		1,219		1,196
No. of ISDN subscriptions (lines in thousands)		1,803		1,818		1,818			1,828			1,816		1,800		1,755		1,682		1,600		1,548		1,498
PSTN/ISDN generated traffic (mill. minutes)		4,702		4,392		3,864			4,387			4,268		3,876		3,454		3,787		3,725		3,279		2,851
Market share of PSTN/ISDN generated traffic (%)		73		73		73			72			70		70		69		69		69		69		69
No. of Online subscriptions residential market (in thousands)		370		359		347			337			315		304		301		294		286		276		263
No. of ADSL subscriptions residential market (in thousands)		42		53		64			90			114		124		139		163		191		214		245
No. of ADSL subscriptions business market Norway (in thousands)		1		2		3			4			7		10		11		14		17		21		25
Wholesale market
No. of PSTN subscriptions (in thousands)		—		—		—			—			11		12		42		104		151		170		180
No. of ISDN subscriptions (lines in thousands)		—		—		—			—			14		17		52		126		188		215		234
No. of ADSL subscriptions (in thousands)		5		6		8			15			21		31		41		56		76		86		90
No. of LLUB (in thousands)		18		25		32			42			53		59		68		80		96		108		123

BROADCAST
No. of television subscribers in the Nordic region
- Subscribers with satellite dish (in thousands)		614		646		664			701			713		708		726		763		778		782		800
- Cable TV subscribers (in thousands)		557		559		561			571			575		590		594		604		605		611		614
- Households in small antenna TV-networks (in thousands)		1,140		1,126		1,129			1,133			1,130		1,049		1,100		1,098		1,132		1,161		1,190
- Cable TV Internet access (in thousands)		15		17		18			21			24		26		28		31		34		35		38

Special items


	3rd quarter						First three quarters
													Year
(NOK in millions)	2004			2003			2004			2003			2003
EBITDA		5,605			4,892			16,302			13,419			18,302
Gains on disposal of fixed assets and operations		(71	)		(22	)		(445	)		(102	)		(232	)
Losses on disposal of fixed assets and operations		52			16			81			201			229
EBITDA excluding gains and losses		5,586			4,886			15,938			13,518			18,299


Expenses for workforce reductions, loss contracts and exit from activities
Mobile		4			(7	)		15			(21	)		(21	)
Fixed		5			(28	)		47			(24	)		6
Broadcast		1			(3	)		2			2			7
EDB Business Partner		16			142			43			199			223
Other business units		15			19			17			32			38
Corporate functions and Group activities		1			(5	)		106			16			34
Eliminations		—			—			—			—			—
Total workforce reductions, loss contracts and exit from activities		42			118			230			204			287

Adjusted EBITDA		5,628			5,004			16,168			13,722			18,586


Write-downs
Mobile		3			2			4			29			35
Fixed		—			—			—			7			24
Broadcast		—			5			—			9			18
EDB Business Partner		—			6			—			17			28
Other business units		36			—			39			14			37
Corporate functions and Group activities		3			—			3			—			3
Eliminations		—			—			—			—			—
Total write-downs		42			13			46			76			145

Adjusted operating profit		2,665			2,425			7,533			5,766			7,989

Special items associated companies
(Gains) losses on disposal of ownership interests		(8	)		—			(17	)		(1,508	)		(1,507	)
Write-down Sonofon		—			—			—			—			—

Write-down DTAC/UCOM		—			—			—			—			—
Write-down Oniway		—			—			—			—			—
Other write-downs associated companies		—			—			—			11			25
Total special items associated companies		(8	)		—			(17	)		(1,497	)		(1,482	)

Net (gains) losses and write-downs financial items		(22	)		38			(2,631	)		128			(73	)

Adjusted profit (loss) before taxes and minority interests		2,699			2,168			7,264			4,552			6,300

Reconciliations


	3rd quarter						First three quarters
													Year
(NOK in millions)	2004			2003			2004			2003			2004
Net income (loss)		1,399			1,281			5,610			3,561			4,560
Minority interests		359			48			990			209			490
Taxes		906			676			3,400			1,772			2,376
Profit (loss) before taxes and minority interests		2,664			2,005			10,000			5,542			7,426
Net financial items		228			357			(1,743	)		1,255			1,365
Associated companies		(292	)		(62	)		(636	)		(1,410	)		(1,231	)
Operating profit (loss)		2,600			2,300			7,621			5,387			7,560
Depreciation and amortization		2,963			2,579			8,635			7,956			10,597
Write-downs		42			13			46			76			145
EBITDA		5,605			4,892			16,302			13,419			18,302

Net (gains) losses on disposal of fixed assets and operations		(19	)		(6	)		(364	)		99			(3	)
EBITDA excluding gains and losses		5,586			4,886			15,938			13,518			18,299

Expenses for workforce reductions, loss contracts and exit of activities		42			118			230			204			287
Adjusted EBITDA		5,628			5,004			16,168			13,722			18,586


Operating profit (loss)		2,600			2,300			7,621			5,387			7,560
Write-downs		42			13			46			76			145
Net (gains) losses on disposal of fixed assets and operations		(19	)		(6	)		(364	)		99			(3	)
Expenses for workforce reductions, loss contracts and exit of activities		42			118			230			204			287
Adjusted operating profit (loss)		2,665			2,425			7,533			5,766			7,989


Associated companies		292			62			636			1,410			1,231
Special items associated companies		(8	)		—			(17	)		(1,497	)		(1,482	)
Adjusted associated companies		284			62			619			(87	)		(251	)


Profit (loss) before taxes and minority interests		2,664			2,005			10,000			5,542			7,426
Write-downs		42			13			46			76			145
Net (gains) losses on disposal of fixed assets and operations		(19	)		(6	)		(364	)		99			(3	)
Expenses for workforce reductions, loss contracts and exit of activities		42			118			230			204			287
Special items associated companies		(8	)		—			(17	)		(1,497	)		(1,482	)
Net (gains) losses and write-downs financial items		(22	)		38			(2,631	)		128			(73	)
Adjusted profit (loss) before taxes and minority interests		2,699			2,168			7,264			4,552			6,300

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